Motorsport Games Inc. (NASDAQ:MSGM) Q3 2022 Earnings Call Transcript

Dmitry Kozko: Thanks Mike for the question. So, fair question. Part about the independent Board members, right, as were stated in the 8-K and other disclosures, the main shareholder pretty much asked the independent Board members to resign as a result of a disagreement on a proposal of such directors to raise additional capital. And that’s obviously put the Company in transactions that would require shareholder approval as a first, but it would also be potentially very-dilutive to all stockholders, based on where the stock has been. So, those members have accepted that and that’s what you have seen in a recent news. However, we do plan to, of course, invite other independent Board members. Part of that our interim CFO, who was just recently with us, was able to step in and serve as our new member of the committee and one independent Board member.

We obviously have, according to the NASDAQ letter, 45 days to provide a plan to the NASDAQ staff on how we would fill other — at least two other seats, to be in compliance with the audit committee composition of three of such members. So, we’re actively having conversations with those type of candidates. And because John Delta had to step down from the interim CFO capacity and go to be our independent Board member, and previously, when John New was our CFO, that put me in a position to actively search for a more permanent CFO role. So currently, you’re absolutely right. The focus continues to remain on — from my side of the office is to solve a liquidity. And I am exploring all those available options. Therefore, finding and filling a CFO role is something that I will switch gears to more actively, as soon as we’re able to address our liquidity concerns.

Mike Hickey: Thank you, Dmitry.

Operator: At this time, there are no further questions. And that concludes the question-and-answer session. This also concludes today’s teleconference. You may disconnect your lines at this time. And thank you for your participation, and have a great day.